Photo by Javier Allegue Barros on Unsplash
Overview
Stage 2 guides the user in selecting circular economy interventions that can reduce the emissions identified in stage 1 and raise the ambition of the NDC. It requires diving deeper across the value chains in the prioritized sectors/sub-sectors with identified stakeholders to identify opportunities for circular economy interventions (step 2.1).
As circular economy interventions can cover different economic sectors and geographies, defining the system boundaries of the intervention entails defining the sectors, processes, stakeholders and other aspects affected by the intervention. The potential impacts and externalities of the interventions will be assessed as well as the targets and indicators to inform the NDC. The ambition or scope of existing NDC targets can be strengthened by reflecting potential emissions reductions of the circular economy interventions in the prioritized sectors. New targets can be created if the sector or GHG is not yet included in the NDC (step 2.2).
Finally, this stage provides guidance and examples for strengthening political will and establishing institutional arrangements for integrating and monitoring the implementation of circular economy interventions effectively (step 2.3).
Circularity "R" framework

Checklist

By the end of stage 2, users will have:
| Assessed prioritized value chains and confirmed strategic entry points for circular economy interventions based on existing policies and practices |
| Developed a list of potential circular economy interventions |
| Assessed the impact potential of those interventions (impacts on GHGs and jobs) in order to update the headline targets and indicators in the NDC (ex-ante) |
| Developed a plan or roadmap to engage stakeholders |
| A verification component to ensure the plan moves through the phases of implementation |
Sectoral examples for Stage 2

Food loss and waste
With the priority food sub-sector(s) established with relevant data in stage 1, stage 2 will enable an analysis along value chains to identify circular economy interventions and policymakers can select interventions to help tackle food loss and waste through the assessment tools in stage 2. Measurable indicators and targets can be set and included in the NDC, aligned within the framework of national action to deliver SDG 12.3.
Public-private partnerships on food loss and waste now operate in many countries including Mexico, South Africa and Indonesia, and have helped to reduce food loss and waste by 27 percent in the UK since 2007. Consumer behaviour change programmes are also working effectively to shift food waste behaviours in the context of SDG 12.3.
The ambition or scope of existing targets can be strengthened by reflecting potential impacts of the circular economy interventions on sectoral categories or GHGs in the NDC. New targets can be created if the sub-sector or GHG is not yet included in the NDC.
The full case for food loss and waste can be found in Chapter 4 of the user guide.

Buildings and construction
Users can conduct a deeper analysis with identified stakeholders to identify circular economy interventions. The planning, design and commissioning stage of buildings will be a critical point of intervention, however the consideration of the whole life cycle is important, including the decision on whether to build new or renovate existing buildings. Potential circular economy interventions will be assessed ex-ante with the proposed tools, including job creation.
Examples of interventions include substituting materials by design, developing markets for local and sustainable construction materials according to national context and reducing and reusing construction and demolition waste. The ambition or scope of existing targets can be strengthened by reflecting potential impacts of the circular economy interventions on sectoral categories or GHGs in the NDC. New targets can be created if the sub-sector or GHG is not yet included in the NDC.
The full case for buildings and construction can be found in Chapter 4 of the user guide.
Tools and resources for the sectoral examples can found in the Resource Library.


